Sriraman Ganapathy

 Profile Answers by Sriraman Ganapathy 

• Jun 18th, 2008

 

Derivatives are financial instruments whose value changes in response to the changes in underlying variables. 

gayathriyellai

 Profile Answers by gayathriyellai 

• Dec 8th, 2008

 

Derivate is product whose valuse is derived from the value of one or more basic variables, called bases, in a contractual manner.

anilasanthosh

 Profile Answers by anilasanthosh 

• Apr 2nd, 2009

 

Derivative instrument is an asset which derives ie, takes its origin from another asset.
The simplest form of derivative is a forward contract, "It is an agreement to buy or sell an asset at a  certain future time for a certain price"Other forms of of derivatives include futures,options and swaps, etc.